Bessent Sees Strong Chance of BOJ Rate Hike Amid Yen Worries

U.S. Treasury Secretary Scott Bessent believes Japan's government and central bank will take action to boost the yen, which could lead to a Bank of Japan interest rate hike in September.

Bessent made these comments during a Group of 20 finance leaders' gathering in Asheville, North Carolina, where he also mentioned meeting BOJ Governor Kazuo Ueda on the sidelines.

When asked if raising interest rates was part of this plan, Bessent replied, 'I think the market's pricing that in now.'

The yen gained against the dollar after Bessent's comments, which reinforced dominant market expectations for a BOJ rate hike in September. The dollar stood at 159.73 yen on Monday.